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The CatoCATO -0.38%59 Equity-to-Asset is 0.40 as of Jul. 2026, which is 9% below its 10-year median of 0.44. GuruFocus rates CATO with a GF Score™ of 59/100 and a GF Value™ of $3.62 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,136 Retail - Cyclical companies, The Cato ranks worse than 55.37% on this metric.
Equity to Asset ratio is calculated as total stockholders equity divided by total asset. The Cato's Total Stockholders Equity for the quarter that ended in Jul. 2026 was $167.9 Mil. The Cato's Total Assets for the quarter that ended in Jul. 2026 was $423.4 Mil.
Therefore, The Cato's Equity to Asset Ratio for the quarter that ended in Jul. 2026 was 0.40.
The historical rank and industry rank for The Cato's Equity-to-Asset or its related term are showing as below:
CATO'
s Equity-to-Asset Range Over the Past 10 Years
Min: 0.36 Med: 0.44 Max: 0.67
Current: 0.4
During the past 13 years, the highest Equity to Asset Ratio of The Cato was 0.67. The lowest was 0.36. And the median was 0.44.
CATO's Equity-to-Asset is ranked worse than 55.37% of 1136
companies
in the Retail - Cyclical industry
Industry Median: 0.44
vs CATO: 0.40
Equity to Asset ratio can vary greatly across different industries, as they have different capital structure. A company with smaller Equity to Asset ratio (more leveraged) may have higher ROE % because of the leverage.
For banks, the required minimum Equity to Asset ratio by regulation is 5%. Some stronger banks may have Equity to Asset Ratio of more than 10%.
The Cato Equity-to-Asset Related Terms
The Cato Equity-to-Asset Historical Data
* Premium members only.
The historical data trend for The Cato's Equity-to-Asset can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
CATO vs LVLU, KMFG, DXLG: Equity-to-Asset Comparison
For the Apparel Retail subindustry, The Cato's Equity-to-Asset, along with its competitors' market caps and Equity-to-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Cato Equity-to-Asset vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, The Cato's Equity-to-Asset distribution charts can be found below:
* The bar in red indicates where The Cato's Equity-to-Asset falls into.
Equity to Asset ratio measures the ratios of the portion of the asset owned by shareholders out of the total asset. It indicates the leverage of the company, and the amount of debt the company uses in its operation.
Equity to Asset ratio is calculated by dividing total stockholders equity by total asset.
The Cato's Equity to Asset Ratio for the fiscal year that ended in Jan. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
The Cato (CATO) has a Equity-to-Asset of 0.40 as of Jul. 2026. Equity-to-asset ratio equals total company equity divided by total assets. It measures financial leverage. View historical data on The Cato and its competitors. This is near median its historical median of 0.44. Over the past decade, The Cato's Equity-to-Asset has ranged from 0.36 to 0.67. According to the industry distribution chart, The Cato ranks #629 out of 1136 companies in the Retail - Cyclical industry, placing it in the top 55.4%.
Is The Cato's Equity-to-Asset too high?
The Cato's current Equity-to-Asset of 0.40 is near median its 10-year median of 0.44. Over the past 10 years, this metric has ranged from a low of 0.36 to a high of 0.67. The Retail - Cyclical industry median Equity-to-Asset is 0.44. The Cato's value of 0.40 is 9.1% below this industry median. Based on the distribution chart, The Cato ranks #629 out of 1136 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, The Cato has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Cato's Equity-to-Asset compare to LVLU and KMFG?
According to the Retail - Cyclical industry distribution chart, The Cato ranks #629 out of 1136 companies for Equity-to-Asset. This places The Cato in the lower half of its industry. The industry median Equity-to-Asset is 0.44. The Cato's value of 0.40 is 9.1% below this benchmark. Historically, The Cato's own Equity-to-Asset has ranged from 0.36 to 0.67 over the past decade. While the company's 10-year median is 0.44 vs. the industry median of 0.44, The Cato has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Equity-to-Asset for a Retail - Cyclical company?
The median Equity-to-Asset among Retail - Cyclical companies is 0.44, based on 1,136 companies in the industry. Companies in the top quartile (top 25%) have a Equity-to-Asset significantly above this median, while those in the bottom quartile fall well below. However, Equity-to-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Cato's current Equity-to-Asset of 0.40 is 9.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Equity-to-Asset mean?
A high Equity-to-Asset can signal that a stock is expensive relative to its fundamentals. Equity-to-asset ratio equals total company equity divided by total assets. It measures financial leverage. View historical data on The Cato and its competitors. For the Retail - Cyclical industry, the median Equity-to-Asset is 0.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Cato's current Equity-to-Asset is 0.40, which is near median its own 10-year median of 0.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Cato stock overvalued right now?
Based on GuruFocus' analysis, The Cato (CATO) is currently considered Modestly Undervalued. The stock's GF Value™ is $3.62, compared to a current price of $2.65 — trading 26.8% below its estimated fair value. The current Equity-to-Asset is 0.40, which is near median its 10-year median of 0.44 and 9.1% below the Retail - Cyclical industry median of 0.44. The Cato's overall GF Score™ is 59/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Equity-to-Asset calculated?
Equity-to-Asset is calculated from a company's financial statements. For The Cato (CATO), the current Equity-to-Asset is 0.40 as of Jul. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Cato (CATO) Overvalued in 2026?
Based on GuruFocus' analysis, The Cato stock appears to be undervalued.
The current stock price of $2.65 is trading 26.8% below its estimated GF Value™ of $3.62.
GuruFocus considers The Cato to be Modestly Undervalued.
Key valuation signals for CATO:
Equity-to-Asset: 0.40 (near median its 10-year median of 0.44)
GF Value™: $3.62 vs. price of $2.65 (26.8% below fair value)
Industry Position: 9.1% below the Retail - Cyclical median (#629 of 1136)
No single metric tells the full story. See the CATO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
The Cato Corp seeks to offer quality fashion apparel and accessories at low prices every day, in junior/missy and plus sizes. The Cato concept's stores and e-commerce website feature a broad assortment of apparel and accessories, including dressy, career, and casual sportswear, dresses, coats, shoes, lingerie, costume jewelry, and handbags. Management believes the Company's success is dependent upon its ability to differentiate its stores from department stores, mass merchandise discount stores, and competing specialty stores. The key elements of the Company's business are: Merchandise Assortment, Value Pricing, Strip Shopping Center Location, Customer Service, Credit and Layaway Programs.
59GF Score
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